EUR/USD: Three reasons points to the downside – Citibank

EUR/USD is trading below 1.16. Economists at Citibank expect the world's most popular currency pair to edge lower due to three factors.

Major support lies between 1.1495 amd 1.1412-1.1422

“We turn slightly bearish on EUR/USD as – US-EU real yields are high There is likely more upside than downside risk, Chinese growth concerns and the negative terms of trade impact of high gas and oil prices.” 

“Major support lies between 1.1495 amd 1.1412-1.1422 but we think EUR/USD may not reach such lows.”